China produces more steel because they have more manufacturing though. We need to grow our manufacturing base. That will provide a market for steel and aluminum. Monkeying with the tariffs is a double-edged sword. It helps some industries, like steel in the short run, but it hurts others. And those that it hurts then cut their use of steel and aluminum, which comes back on the steel and aluminum industry. Eventually it backfires. Better to encourage the growth in the manufacturing of the final product, which will increase the demand for steel and aluminum instead of reducing the supply.
I think we mostly agree.
Tariffs protect inefficiency. Sometimes it’s necessary, at other times it is political favoritism.
The only time they are truly warranted is when there’s a good reason to protect a strategic industry. This could be for defense capability. Or, it could be to help a young industry grow.
China protects its auto industry. It is also trying like crazy to develop a national commercial airframe champion, and to become a power in semiconductors, like it has in the solar panel industry.
It does this by charging tariffs, and depressing the wages of its workers.